No Black Monday (I guess)

Actually, I'm just waiting for some of the latest updates on the bailout news. Well, I saw plenty of doom articles saying that if the bailout is not set, we will probably see black monday and bloody tuesday. Jim Cramer even suggests that Dow could go as low as 8000.

Bailout News

As of 2314Hrs singapore time (GMT +0800?), I think the bailout is going to be successful. So... I need to rethink a bit.

Dollar

I think the dollar is a tricky issue. Is a bailout good on the dollar?

1. If you look from a confidence point of view, maybe bailout brings back confidence and people start buying dollar.

2. If you look from money printing point of view, dollar has to go down.

Again, we should just sit tight, probably ignore the market for some time. Take a nap elsewhere, come back and see that the dollar is now at 1:1 against Singapore dollar. =)

Stock Market Crash

Honestly speaking, I really think that the only way to the bottom is a crash. Somehow someway, I believe that it is coming.

1. It is a type of panic selling.

2. Unjustified short selling ban will create some sort of bubble. (short term)

3. I don't see a bottom yet and bankruptcies are coming fast.

4. I guess I'm just a natural bear who want to get a market crash correct. Self-fulfilling? Possibly actually.

5. Maybe it is also because I have some put warrants on hand!!!

Some Rules

Rule no.1: Time Stop - If I'm not wrong, the short selling ban will be over on 2nd Oct? I will see how it goes on 3rd Oct then. Probably a time stop on 3rd Oct.

Rule no.2: Price Stop - Dow 8000 for simplicity sake.

Rule no.3: Hmm... follow 1 and 2. What a cliche rule, but it works somehow.

Let's see if I have improved from a year ago or am I back to square one

Latest Update

Cool, a pure gut feel thing. Bailout wasn't accepted and we had a sellout. 700 points on Dow. My adrenaline was rushing when I saw -700 on dow in that split second. Again I emphasize that this is not the bottom so please, don't go into the market thinking that it is cheap now. If you will listen to me, sell all you have. It is easy for me to say, but why are you stuck in current situation in the first place... Have you thought through that? Somehow, my rules aren't applicable anymore. LOL things change fast. I will be holding my puts

Hardwork is approximately linear to reward

Our very genius, Mr. X